Gov’t scrutinizing auto dealers

Gov’t scrutinizing auto dealers

Gov’t scrutinizing auto dealers

The government has introduced new regulations that foresees hefty fines for auto dealers who engage in practices that make it more difficult for potential consumers to access new cars.

Authorities will revoke the licenses of dealers to sell second-hand cars for one year if they ask for prices of new cars above the recommend price set by automakers or distributors.

Moreover, their licenses will be suspended if they force consumers to pay for extra features.

Dealers will have their licenses suspended if they force consumers to exchange their old vehicles for new ones and offer a below the market price for their old cars.

They will also face fines and suspension of their licenses if they refuse to sell cars even though they have vehicles in their inventories.

Dealers who engage in such practices will be fined up to 4.5 million Turkish Liras for “stockpiling.”

If they do not stop those activities, their license to sell secondhand vehicles will be canceled permanently.

Officials from the Trade Ministry held a meeting with dealers after receiving complaints on social media platforms to discuss the problems in the auto market.

Almost all dealers have started to sell second-hand cars and generate large sums from the sale of those vehicles, said the officials.

“As a first warning, we introduced a regulation that will suspend their licenses for one year. If necessary, we will cancel their licenses to sell secondhand cars.”

The names of dealers who are fined for engaging in such practices will be made public on the ministry’s website, they said.

There is a strong demand for cars but the supply in the market is not enough due to problems related to chip shortages and logistics issues.

In April, passenger car and light commercial vehicle sales leaped 63 percent from a year earlier.

Passenger car sales grew 70 percent to 77,400, while the increase in light commercial vehicle sales was 40 percent to 20,300, according to data from the Automotive Distributors’ and Mobility Association (ODMD).

Türkiye, Economy,